Restructuring forms part of the U.S. auto giant’s plan to turn around its global business

BERLIN—Ford Motor Co. is launching an overhaul of its money-losing European business that is expected to include thousands of job cuts, plant closures and the cancellation of low-profit models amid a series of bad news for global car makers.

The move is part of a broad cost-cutting effort that Ford Chief Executive Jim Hackett has embarked on in an industry facing the challenges of electric vehicles and a push toward autonomous driving.